THE Welsh Government should change the way public contracts are awarded to help local firms, Plaid Cymru said yesterday.

Too many firms in Wales miss out on lucrative deals totalling around £4.5bn each year for goods and services.

The Welsh Government insisted “great strides” had been made in improving public sector procurement processes in Wales – with companies increasing their share of the annual spend from 30% to 50%.

But Plaid’s finance spokesman Alun Ffred Jones said he would like that figure to increase to 75% and said more “innovative” targeting of public sector contracts could boost the Welsh economy by an extra £1bn a year.

He said: “It is imperative the Government uses the tools it has at its disposal to stimulate the Welsh economy so our communities can rebuild and move forward.”

The Welsh Government said: “Wales-based companies increased their share of the £4.5bn the public sector annually spends on goods and services from 30% to 50%.”